A number of investors in the automotive sector sent a memorandum to the Minister of Finance, Dr. Samir Radwan, asking him to change the customs duties on cars imported from abroad. This request was due to a recession experienced by the automotive sector in the domestic market in light of recent events and the focus on other imported goods. According to the memorandum, the rates of recession exceeded more than 70 percent in the domestic market, reflecting on the attitude of consumers who began to purchase cheaper cars after the January 25 Revolution. Vice President of the General Division of the Federation of Chambers of Commerce, Omar Balbaa, said the car market began to after the revolution by 30 percent. Balbaa told Youm7 the memo demanded a change in imposed fee on automobile engine, up to 2000 cc, after the rise in value of licenses of all types of cars and an imposed fee up to 10,000 EGP (U.S. $1,600) when it comes to these types of cars in particular. He stressed on the necessity of reviving the Egyptian market. Agent of the Division of Automobile Chamber of Cairo, Nour Darwish, said the banks' current policy of not permitting loans is affecting all markets and especially the automotive market. Darwish recommended amending the custom rules for cars, especially for high-capacity drives, as a kind of incentive to stimulate the sector in general. An agreement is expected to be approved by the World Trade Organization to develop new policies to facilitate the transmission of items for cars between countries during the upcoming period. Bringing cars into Egypt requires payments of various fees including a tariff and insurance. There are three categories of cars and each has an according price, from the most expensive category ranging from 1600 to 2001 cc.
